We’ve put together an easy guide for you to understand our debt recovery process and how First Captiol Collections proven techniques will help you to get your money back.
STEP 1 – Debtor investigation…
“know your Customer” is a fundamental business rule…so is “Know your Debtor”. Knowing who your debtor is enables us to assess our next move. We use Experian & Equifax to conduct a full investigation into your Debtor’s background.
- We analyse your debtors business trading history, we look at their accounts, key indicators; such as their overall credit score and credit limit and risk rating.
- In addition we look for any previous winding –up orders, proposals to strike off, County Court Judgements or if the director/s is/are in association with other business/es (if they are – we will check these out too!).
- We also compare their business performance against other businesses within their sector.
- If they are a sole trader depending on the size of the debt we will search to see if the debtor has any County Court Judgments (CCJs), Individual Voluntary Arrangement (IVAs) or has been made bankrupt in the past. We will also search to see if he/she owns any assets.
STEP 2 – 14 days letter before action
We will write to your debtor setting out our claim with full details of the debt including any interest that you are due in accordance with section 69, County Courts Act 1984 or interest and compensation in accordance with the Late Payment of Commercial Debts Regulations 2013. We include a copy of your invoice/statement as evidence of our claim. Our letter is drafted by our legal team and is fully compliant with the Civil Procedure Rules.
We will also send this letter by email (if email address is available)
STEP 3 – During the 14 days we will try to engage with your debtor…
We make telephone calls…. …and we also send automated text messages
If the Debtor makes payment we send you your money less our commission!
OR… If arrangement agreed, we draft a legal payment agreement and manage
it on your behalf – ensuring the terms are met
STEP 4 – If no payment or contact
WE SEND – 7 DAYS FINAL DEMAND…
This letter is sent by recorded delivery – Your debtor will have a further 7 days to make full payment – at this stage in the process the debtor will not usually be able to make an arrangement – The whole debt balance must be paid in full.
If after expiry payment has not be made the following
action may be taken…
A. Door Step Collection
We have over 100 Nationwide field agents who are available 6 days a week.
Their aim is to obtain payment or to obtain information to assist our next move!
B. Serving of a Statutory Demand
A statutory demand is a formal demand for payment. When presented, your debtor will have 21 days to make payment or risk the possibility of being ‘wound-up’ or individual bankruptcy!
C. County Court Action
We can instigate county court action at a moments notice. Our case managers will guide you through the process.
For more information about legal escalation please click here: